This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.bbc.co.uk/news/world-europe-38369822

The article has changed 7 times. There is an RSS feed of changes available.

Version 1 Version 2
Christine Lagarde: IMF chief convicted over payout Christine Lagarde: IMF chief convicted over payout
(35 minutes later)
A French court has found International Monetary Fund chief Christine Lagarde guilty of negligence but did not hand down any punishment.A French court has found International Monetary Fund chief Christine Lagarde guilty of negligence but did not hand down any punishment.
As French finance minister in 2008, she approved an award of €404m ($429m; £340m) to businessman Bernard Tapie for the disputed sale of a firm.As French finance minister in 2008, she approved an award of €404m ($429m; £340m) to businessman Bernard Tapie for the disputed sale of a firm.
Lagarde, who always denied wrongdoing, was not present in court, having left France for Washington.Lagarde, who always denied wrongdoing, was not present in court, having left France for Washington.
The IMF board is to meet "shortly" to consider the latest developments.The IMF board is to meet "shortly" to consider the latest developments.
On Friday, Lagarde told the trial she had always acted in good faith.On Friday, Lagarde told the trial she had always acted in good faith.
Verdicts of the Court of Justice of the Republic (CJR) are not subject to appeal, French media say. Cases at the Court of Justice of the Republic (CJR) may not be retried but can be appealed against on grounds of procedural errors.
Nonetheless, Lagarde's lawyer said his team would consider appealing, Reuters news agency reports. Lagarde's lawyer said his team would consider appealing, Reuters news agency reports.
Lagarde replaced Dominique Strauss-Kahn as IMF managing director in 2011. The former finance minister replaced Dominique Strauss-Kahn as IMF managing director in 2011.
Mr Strauss-Kahn - also a former French finance minister - resigned following his arrest in New York on charges of sexual assault that were later dropped.Mr Strauss-Kahn - also a former French finance minister - resigned following his arrest in New York on charges of sexual assault that were later dropped.
Another former IMF head, Rodrigo Rato of Spain, is currently standing trial on charges of misusing funds when he was head of Spanish lender Bankia.Another former IMF head, Rodrigo Rato of Spain, is currently standing trial on charges of misusing funds when he was head of Spanish lender Bankia.
Public outcry Legal precedent
Lagarde, 60, was tried on charges of "negligence by a person in position of public authority".Lagarde, 60, was tried on charges of "negligence by a person in position of public authority".
Accused of allowing the misuse of public funds, rather than actual corruption, she could potentially have been sentenced to a year in prison.Accused of allowing the misuse of public funds, rather than actual corruption, she could potentially have been sentenced to a year in prison.
Explaining the verdict, which took many by surprise, Judge Martine Ract Madoux was quoted by Reuters as saying: "The context of the global financial crisis in which Madame Lagarde found herself in should be taken into account."
She also cited Lagarde's good reputation and international standing as reasons.
The CJR is composed mostly of politicians rather than judges, and handles allegations of crimes committed by cabinet ministers in office.The CJR is composed mostly of politicians rather than judges, and handles allegations of crimes committed by cabinet ministers in office.
The case originates in the early 1990s, when Mr Tapie was a majority shareholder in sports goods company Adidas. CJR trials are rare but in a similar judgment in 1999, it found another French politician, Edmond Herve, guilty of negligence over a contaminated blood case but did not punish him.
The earlier decision rested on a legal article (in French) which allows courts to deliver a guilty verdict but withhold actual punishment.
Public outcry
Lagarde's case originates in the early 1990s, when Mr Tapie was a majority shareholder in sports goods company Adidas.
After launching a political career and becoming a cabinet minister in Francois Mitterrand's Socialist government in 1992, Mr Tapie had to sell the company.After launching a political career and becoming a cabinet minister in Francois Mitterrand's Socialist government in 1992, Mr Tapie had to sell the company.
In 1993, he sued Credit Lyonnais, a state-owned bank that handled the sale, alleging that the bank had defrauded him by deliberately undervaluing the firm.In 1993, he sued Credit Lyonnais, a state-owned bank that handled the sale, alleging that the bank had defrauded him by deliberately undervaluing the firm.
By 2007, the long-running case was referred to binding arbitration by Lagarde, who at that time was finance minister under conservative President Nicolas Sarkozy.By 2007, the long-running case was referred to binding arbitration by Lagarde, who at that time was finance minister under conservative President Nicolas Sarkozy.
A three-member panel awarded the compensation a year later, causing a public outcry.A three-member panel awarded the compensation a year later, causing a public outcry.
Last year, after eight more years of legal wrangling, a French court ruled that Mr Tapie had not been entitled to compensation and should repay the €404m.Last year, after eight more years of legal wrangling, a French court ruled that Mr Tapie had not been entitled to compensation and should repay the €404m.